State budget to tackle debt, deficit, AFL dream
Asset sales could be on the cards as a Liberal state government tries to reel in ballooning debt and deficit as well as fund its AFL dream.
Tasmania's Treasurer Guy Barnett will hand down his maiden budget on Thursday, six months after taking over when his predecessor resigned over a ferry delivery saga.
Updated estimates for 2024/25, released in February, showed deficit for the financial year would rise from $793 million to $1.2 billion.
It also predicted net debt to reach $9.6 billion by 2027/28, up from the previously slated $8.6 billion.
Mr Barnett recently refused to rule out the sale of state-owned companies, after the government commissioned a report to investigate potential privatisations.
The budget would contain a "very clear" path to surplus, Mr Barnett said, despite the fact projected surpluses had been pushed back in recent years.
The estimated price tag for a new Hobart stadium, a condition of the Tasmania Devils entering the AFL, has risen from $755 million to $945 million.
The government is relying on borrowings to make up the difference, after pledging to "cap" its contribution to the project at $375 million.
A larger spend is also needed to build the team's high performance centre, which has blown out from $70 million to $115 million.
Costs have risen for a new port to berth delayed Spirit of Tasmania vessels in Devonport, with the latest figure up $188 million to $493 million.
Former treasurer Michael Ferguson, who was the minister responsible for the project, dropped his portfolios because of delays to the ships' delivery.
The government has been spruiking health and education funding, and on Wednesday announced $296 million to upgrade 23 schools over four years.
There would also be $9.9 billion for education over the forward estimates in the budget.
Health funding will make up one third of the state's operating budget, a figure of $14.6 billion over four years - a boost of $1.6 billion from last budget's figures.
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